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INCOME TAXES (Tables) | 12 Months Ended
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Sep. 28, 2019
Income Tax Disclosure [Abstract] |
Income from continuing operations by location, the provision (benefit) for income taxes and the effective tax rate | The following table reflects U.S and foreign income before income taxes for fiscal 2019, 2018, and 2017:
| Fiscal
(in thousands) | 2019 |  | 2018 |  | 2017
United States | $ | (14,125 | ) |  | $ | 25,211 |  |  | $ | (4,114 | )
Foreign | 48,812 |  |  | 152,338 |  |  | 122,629 |
Income before tax | $ | 34,687 |  |  | $ | 177,549 |  |  | $ | 118,515 |
Provision (benefit) for income taxes from continuing operations | The following table reflects the current and deferred components of provision for (benefit from) income taxes for fiscal 2019, 2018, and 2017:
| Fiscal
(in thousands) | 2019 |  | 2018 |  | 2017
Current: |  |  |  |  |
Federal | $ | 6,580 |  |  | $ | 83,159 |  |  | $ | (3,975 | )
State | 214 |  |  | 58 |  |  | 64 |
Foreign | 6,384 |  |  | 16,980 |  |  | 13,290 |
Deferred: |  |  |  |  |
Federal | 2,959 |  |  | 23,346 |  |  | (15,374 | )
State | — |  |  | (2 | ) |  | 40 |
Foreign | 6,773 |  |  | (2,797 | ) |  | (1,439 | )
Provision for (benefit from) income taxes | $ | 22,910 |  |  | $ | 120,744 |  |  | $ | (7,394 | )
Effective income tax rate reconciliation | fiscal 2019, 2018, and 2017:
| Fiscal
(dollar amounts in thousands) | 2019 |  | 2018 |  | 2017
Expected income provision based on the U.S. federal statutory tax rate | $ | 7,284 |  |  | $ | 43,568 |  |  | $ | 41,358 |
Effect of earnings of foreign subsidiaries subject to different tax rates | (4,335 | ) |  | (12,947 | ) |  | (22,832 | )
Benefit from tax incentives | (5,084 | ) |  | (20,429 | ) |  | (23,294 | )
Benefit from research and development tax credits | (3,041 | ) |  | (2,785 | ) |  | (1,859 | )
Benefit from foreign tax credits | (22,744 | ) |  | (3,939 | ) |  | (26,119 | )
U.S. one-time transition tax | 9,369 |  |  | 101,854 |  |  | — |
Remeasurement of deferred taxes | 5,480 |  |  | 2,760 |  |  | — |
Non-deductible goodwill impairment | — |  |  | — |  |  | 8,805 |
Valuation allowance | 25,289 |  |  | 7,366 |  |  | 6,458 |
Foreign operations (withholding taxes, taxes on unrepatriated foreign earnings, and deemed dividends) | 8,578 |  |  | 5,746 |  |  | 6,039 |
Unrecognized tax benefit | 156 |  |  | 530 |  |  | 2,936 |
Non-deductible items | 2,248 |  |  | (758 | ) |  | 778 |
Other, net | (290 | ) |  | (222 | ) |  | 336 |
Provision for (benefit from) income taxes | $ | 22,910 |  |  | $ | 120,744 |  |  | $ | (7,394 | )
Effective tax rate | 66.0 | % |  | 68.0 | % |  | (6.2 | )%
Net deferred tax balance | The following table reflects deferred tax balances based on the tax effects of cumulative temporary differences for fiscal 2019 and 2018:
| Fiscal
(in thousands) | 2019 |  | 2018
Accruals and reserves | $ | 5,514 |  |  | $ | 6,652 |
Tax credit carryforwards | 23,448 |  |  | 4,532 |
Net operating loss carryforwards | 36,050 |  |  | 39,856 |
Gross deferred tax assets | $ | 65,012 |  |  | $ | 51,040 |
Valuation allowance | $ | (58,411 | ) |  | $ | (37,249 | )
Deferred tax assets, net of valuation allowance | $ | 6,601 |  |  | $ | 13,791 |
Taxes on undistributed foreign earnings | $ | (24,542 | ) |  | $ | (21,988 | )
Fixed and intangible assets | (7,704 | ) |  | (8,377 | )
Deferred tax liabilities | $ | (32,246 | ) |  | $ | (30,365 | )
Net deferred tax liabilities | $ | (25,645 | ) |  | $ | (16,574 | )
Reported as |  |  |
Deferred tax assets | $ | 6,409 |  |  | $ | 9,017 |
Deferred tax liabilities | (32,054 | ) |  | (25,591 | )
Net deferred tax liabilities | $ | (25,645 | ) |  | $ | (16,574 | )
Unrecognized tax benefits | The following table reconciles the beginning and ending balances of the Company's unrecognized tax benefit, excluding related accrued interest and penalties, for fiscal 2019, 2018, and 2017:
|  | Fiscal
(in thousands) |  | 2019 |  | 2018 |  | 2017
Unrecognized tax benefit, beginning of year |  | $ | 13,038 |  |  | $ | 12,062 |  |  | $ | 7,453 |
Additions for tax positions, current year |  | 410 |  |  | 1,482 |  |  | 3,657 |
Additions for tax positions, prior year |  | — |  |  | — |  |  | 1,834 |
Reductions for tax positions, prior year |  | (523 | ) |  | (506 | ) |  | (882 | )
Unrecognized tax benefit, end of year |  | $ | 12,925 |  |  | $ | 13,038 |  |  | $ | 12,062 |

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